Top 50 real estate enterprises average ability to repay short debt weakens the introduction of multiple real estate enterprises and their investment in debt repayment

category:Finance
 Top 50 real estate enterprises average ability to repay short debt weakens the introduction of multiple real estate enterprises and their investment in debt repayment


In recent days, the news that Taihe Group introduced war investment has attracted much attention. Although the target has not been announced, before the introduction of war investment, Huang Qisen, chairman of Taihe Group, has made many efforts to improve the financial structure. It is not easy to stop taking land, transfer projects and possibly introduce war investment at the cost of transferring control rights.

At the end of the day, its debt. Affected by the novel coronavirus pneumonia and the drop lever, private enterprise financing difficulties, many enterprises survived the 2019, but they did not necessarily survive the 2020. Soon after the outbreak, new Hualian became the first listed real estate enterprise to default on its debt.

Of course, there are also enterprises that introduce war investment to meet the needs of scale development. On April 26, Greentown signed a subscription agreement with Xinhu to issue 323 million shares to Zhongbao, Xinhu, to introduce it as a strategic partner of the company, with a total transaction amount of hkd3068.5 million. If the deal is completed, Xinhu Zhongbao will become the third largest shareholder of Greentown China. At the same time, green city also acquired the high-quality project of xinhuzhongbao and increased the land reserve.

Behind the housing companies active introduction of war investment, most of them are unable to get financing, and if they do not suck up the sales market, they will not be able to repay their debts in the short term. Some industry insiders who do not want to be named told the Securities Daily that the ability of cash flow management has become one of the important internal skills of real estate enterprises. Generally speaking, enterprises should reserve a cash pool to face the uncertain market.

From the overall trend of the real estate industry, the average solvency is declining.

According to the research data of Yihan think tank, in 2019, the average cash short debt ratio of 50 typical real estate enterprises decreased compared with 2018 one point six four On the whole, the short-term debt service pressure is not large. However, another group of data shows that the capital chain of real estate enterprises is tight. According to Kerui real estate research, 2020 is the peak period for the maturity of bonds of real estate enterprises. The total amount of bonds matured by 95 real estate enterprises in the year exceeds 500 billion yuan, up 45% from 2019.

According to statistics of Yihan think tank, from the distribution of cash short debt ratio, the cash short debt ratio of 50 typical real estate enterprises is mostly distributed between one and two times, totaling 26, accounting for 52%; there are 12 real estate enterprises with cash short debt ratio less than one, accounting for 24%; there are 9 real estate enterprises with cash short debt ratio between two and three times, accounting for 18%; there are 3 real estate enterprises with cash short debt ratio more than three times, accounting for 6%. In response, Yihan think tank said that on the whole, most of the real estate enterprises have less short-term debt service pressure, but some of the restricted funds in the monetary capital reserve of the real estate enterprises are unusable. If the scale of the restricted funds is too high, it will cause pressure on the short-term debt service ability of the real estate enterprises.

However, Yihan think tank believes that to measure a real estate enterprises short-term solvency, we should not only focus on the performance of indicators, but also consider the marketing and financing capabilities. The strong performance of both can directly alleviate the companys short-term solvency pressure. The sales market has suffered a setback. After one months cut-off of overseas financing channels, the debts due in the second half of the year are approaching immediately, which makes some real estate enterprises with high debt ratio have to seek help from external funds. Yan Yuejin, research director of the think tank center of Yiju Research Institute, told the Securities Daily that, however, different real estate enterprises have different capital situations. From the current overall level, their average cash short debt ratio is still at a high level, and most enterprises have less short-term debt service pressure. Even if we want to introduce war investment, the results are different. After some enterprises introduce the shareholders with the background of state-owned capital, it will be beneficial for them to reduce the cost of capital and carry out business. Source: surging news editor: Wang Xiaowu NF

The sales market has suffered a setback. After one months cut-off of overseas financing channels, the debts due in the second half of the year are approaching immediately, which makes some real estate enterprises with high debt ratio have to seek help from external funds. Yan Yuejin, research director of the think tank center of Yiju Research Institute, told the Securities Daily that, however, different real estate enterprises have different capital situations. From the current overall level, their average cash short debt ratio is still at a high level, and most enterprises have less short-term debt service pressure. Even if we want to introduce war investment, the results are different. After some enterprises introduce the shareholders with the background of state-owned capital, it will be beneficial for them to reduce the cost of capital and carry out business.